a) What is the cost for each Option?
Option C: Lease the Car
The down payment is 3000
The lease term is 48 mo
The monthly payment is $541.81 (including the GST an the vehicle)
The residual value is $13 675
The security deposit is $1500.
The delivery charge is $591 20 (including taxes)
To calculate the total cost for Option C, we need to consider the down payment, monthly payments, security deposit, residual value, and delivery charge.
Total cost = (down payment) + (monthly payment x lease term) + (security deposit) + (residual value) + (delivery charge)
Total cost = $3000 + ($541.81 x 48) + $1500 + $13,675 + $591.20
Total cost = $3000 + $26,051.68 + $1500 + $13,675 + $591.20
Total cost = $44,817.88
Therefore, the total cost for Option C (leasing the car) is $44,817.88.